Reporters of the Working Group

The Fund’s marketing industry is speeding up the laundry. As a result of the latest developments, the Fund’s market was at the beginning of the year and the Fund’s distribution agencies were growing in size, with a more significant change in the number and market share of independent fund sales agencies. In the face of fast-growing and more competitive fund-raising industries, the regulatory sector is continuously leading marketing institutions to establish long-term sustainable business models. In recent days, the China Securities and Investment Fund Industry Association has indicated that it will focus on the marketing operations of the Fund, further refine the self-regulatory management system of the Fund’s marketing operations, and promote the development of ecology of the marketing operations and the promotion and convergence of interests of investors.

Market heating

Increase in the share of independent marketing institutions

In recent days, the Chinese Securities and Investment Fund Association has issued a 100-scale bill for the sale of the Fund’s sales agencies in the first quarter of 2023. The combined size of the equity-plus blending fund, which benefited from a quarterly market return, was $579 million, a 2.52 per cent increase over the year-end ring; the non-monetary fund, which had a combined size of $825 million, represented an increase of 2.96 per cent.

From the 100-strong list, vouchers, banks, independent fund sales agencies are among the three most important. Of these, the 100-strong list dealers held 51 seats, a decrease of 2 compared to the end of the previous year; the banks occupied 26 seats, equal to the end of the previous year; and the independent fund marketing agencies held 21 seats, an increase of 2 compared to the end of the year. In addition, two insurance and representation agencies are included.

The market share of the independent fund sales agencies (which account for the combined size of the 100-strong list) has increased further. According to securities statistics in the west, the market share in bank channels was 50.7 per cent, a decrease of 0.33 per cent over the end of the year, an increase of 0.32 per cent in the number of independent fund sales agencies, 26 per cent.

In terms of the size of non-IMF coverage, the market share of the independent fund sales agencies has increased significantly. In particular, the market share of the independent fund’s marketing agencies was 34.1 per cent, an increase of 1.59 per cent over the end of the year and a growth rate of 47.2 per cent for banks, a decrease of 1.39 per cent over the end of the year. The market share of vouchers has been slightly reduced by 17.7 per cent, a slight decrease of 0.23 percentage points.

Main effects are evident

Growing competition in industry

The first impact is increasingly highlighted in the context of the current development of the Fund’s distribution agencies. For example, according to the 100-per-cent list of equity-plus mixed funds, as of the end of the first quarter of this year, 14 institutional funds, such as solicitor banks, the White Helmets Fund, the Sky Fund, the Business Bank, the Construction Bank, etc., had a combined size of 66.16 per cent of the total size of 100-strong institutions.

This is also reflected in the number of agencies’ alternative funds. As at 4 May, the daily fund, the White Helmets fund, the good purchase fund, the surplus and rice wealth, the Kinköt, the flower fund and the capital fund had more than 8,000 alternative funds. Correspondingly, the number of over 200 marketing agencies’ substitute funds does not exceed 100.

How do the marketing agencies suddenly surround in the face of intense industrial competition? China believes that, after a significant fluctuation of equity in 2022, current market financial risk preferences are still at a lower level, how to secure customer trust, add value to aid wealth, test the capacity of institutions for integrated wealth management services, and the dilapidated policy lies in the “comprehensiveness” of the buyer’s perspective.

In this context, “comprehensive” is expressed in the adequacy of client-based services for research and learning, the ease of the trading platform in the system-to-business processes, the efficiency of the use of funds, the richness and balancing of the number of substitutes. Demonstrating is the ability of the various distribution channels to take full advantage of their own channels, to fine-tune the advantages and to build the wealth management of the river. These factors are key to responding to market changes and competition with the same industry.

Persistent regulatory tightening

Investment interests at the heart

It is worth noting that the regulatory authorities are continuously increasing their compliance with the Fund’s marketing agencies. Since this year, the regulatory branch has issued dozens of tickets, focusing on the management of personnel in marketing institutions, promotional media and evaluation systems for the sale of funds.

Improving investor access becomes an important regulatory orientation. The Quality Development Opinion on Accelerating the Promotion of the Public Fund Industry, issued last year by the Board of Trustees, proposes to guide the Fund’s managers and the Fund’s marketing agencies to firmly establish a marketing concept that is central to investor interests, strengthen investor-appropriate management, “reverse sales”, actively expand ongoing marketing, innovate investor-led approaches and enhance investor protection.

In recent days, the Chinese Securities Investment Fund Association held its first working session of the Fund’s Marketing Operations Committee in 2023, which emphasized that: first, research on optimizing marketing incentive mechanisms and marketing cost models to explore improved investor access to measurement indicators to promote investor-centred appraisal mechanisms; secondly, researching investor behaviour, helping marketing institutions to understand the behavioural characteristics of the Fund’s investors, or targetedly directing the Fund’s investments; and thirdly, communication of long-term nuclear concepts through, inter alia, the sharing of best practices in industry and enhanced inter-agency collaborative exchanges.

Family benefits, 60 days of experience with services, a one-to-one service!